Banking CIO Outlook Weekly Brief
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Today, many banks still use segmented & costly technology tools to process loan applications, perform fulfillment functions, and manage risks. Data errors often occur when data travels from one system to another. When credit decisions are made with low-quality data, they increase lending risks substantially. Since their current LOS was built on legacy technology, it is difficult for all parties to collaborate in real-time. This leads to inconsistencies, delays, and compliance violations which chips away at the bottom-line.
WEI Technology’s flagship product, LendingPad, is the latest disruption of the dated LOS industry. It is a cloud-based, end-to-end loan origination platform that connects and optimizes the lending process for all stakeholders. Operating from the cloud, LendingPad users can be device independent and access the system from anywhere. The system provides mobility for loan officers and is always updated with the latest innovations. It enhances collaboration, reduces expense, and scales up and down with volume volatility effortlessly.
Unique features include configurable same-file multi-user edit access, real-time data push/auto-refresh. It has a synchronous, bi-directional API so data can update to other banking systems in use today. The system’s configuration and administration is a breeze. Through different control options, the system ensures data access for the right user at the right time. LendingPad brings in compliance, pricing and eligibility information early at critical stages in the production process. With advanced system architecture in the cloud, loading data and documents are always fast.
“To succeed in today’s origination environment, transparency and responsiveness is a must,” says Wes Yuan, WEI’s Managing Director. To deliver that transparency, status, pricing and eligibility information must be communicated as quickly as possible.”
LendingPad is a high-performance cloud-based loan origination system. It helps banking institutions to increase efficiency, reduce costs and improve profits
LendingPad’s next disruption is to combine its leading LOS with a newly developed consumer-facing, point-of-sale (POS) application. From the POS solution, borrowers can perform many of the tasks from the back-office, reducing workload for the bank. E-signing disclosures, getting status updates, and uploading documents can all be self-service tasks. The POS application also allows borrowers to lock, pull in income and asset information electronically, and get status updates. They can even run automated underwriting with Fannie Mae’s Day-1 Certainty options after loan application.
The firm leaves no stone unturned in ensuring that security remains uncompromised. “We remain proactive when it comes to security. Our application security framework combined with Amazon Web Services optimizes data security for lenders and borrowers alike,” says Yuan. Because they are compliance and security focused, LendingPad conducts regular InfoSec reviews with an annual SOC2 audit to ensure data security.
From small-sized lending startups to national lenders, WEI Technologies’ clientele is diverse. One of its national lender clients previously used segmented software applications in their mortgage channel. By implementing the LendingPad platform, the client solved its “out-of-sync” predicaments quickly. Consequently, the client’s efficiency increased, its audit findings decreased, and data quality improved. Most importantly, all stakeholders were aggregated on a single platform. The change is translated into huge cost-savings, bringing more smiles to their employees’ and borrowers’ faces.
"LendingPad's capabilities should excite mortgage lenders who are looking to improve their loan process," said Wes Yuan, Managing Director at WEI Technology. "LendingPad and Freddie Mac are collaborating to provide their joint clients with greater efficiency to originate more loans, lower origination costs and reduce processing time."
LendingPad's capabilities are immediately accessible through asset and income modeler (AIM), Freddie Mac's automated asset and income assessment solution, available in Loan Product Advisor. Options include the entry of reference numbers available through vendors such as The Work Number and FormFree.
"LendingPad's expertise, combined with Loan Product Advisor's, superior underwriting capability, will help lenders provide a better mortgage lending experience for homebuyers," said Rick Lang, Freddie Mac, Vice President, Loan Advisor Strategy Integration. "This innovation provides our clients with a much-needed competitive advantage – The Freddie EdgeSM – that reduces drag in today's fast-paced housing market."